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tv   Bloomberg West  Bloomberg  June 8, 2016 11:00pm-12:01am EDT

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mark: you are watching "bloomberg west." the associated press cites israeli police who say that palestinian gunmen opened fire, near a popular open our market in tel aviv killing three , israelis and wounding five others. the gunmen were detained. iraqi counterterrorism forces are a step closer to re-taking, the city is one of the last stronghold of the islamic state and has been a haven for antigovernment militants since the 2003 invasion. the british government is extending the registration deadline for its june 23 referendum on eu membership until thursday. a late surge in applications created technical issues on a
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registration website last night less than two hours before the deadline. despite hillary clinton now being the democratic party's presumptive presidential nominee bernie sanders still is not 100 , percent in her rearview mirror. sanders says he will continue to make his case through the final primary and washington, d.c., next week. mrs. clinton does not have the endorsement of president obama, at least not yet. that is expected to become soon but white house press secretary josh earnest says it will not happen before the meeting at the white house between president obama and senator sanders. powered by over 2400 journalists in 150 bureaus around the world, from new york, i am mark crumpton. "bloomberg west" is next. ♪
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emily: i am emily chang, and this is "bloomberg west." emily: coming up, meg whitman takes stock. it has been eight months since the hewlett-packard enterprise ceo oversaw the historic that of hp. plus, if she is not supporting truck, will she endorsed hillary clinton? amazon raising the stakes, is it -- we will discuss what it means for local competition. and fiat's tech of section after -- obsession, partnering with google to build a fleet of self driving minivans. the company talks with uber about a driverless car partnership. hewlett-packard enterprise is holding its annual discovery conference, the first since its split into two separate companies. withnnounced a partnership ge with the companies will work
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together on the internet of things. we caught up with ceo meg whitman and asked about everything from tech m&a to donald trump and if whitman herself will ever go back into politics. we began on just how the company is faring, post-split. take a listen. whitman: i have to say the split has been fabulous. in this day and age when technology is moving at lightning speed, frankly i think it is imperative to go smaller so we can go faster. it actually has been easier as separate companies then it was as one big company. i know that hp ink and we have enterprise we have all been pleased with the split and how it has worked out for employees, customers, and shareholders as well. emily: you are creating, as you said, a much more nimble company. do you see others following that model, that leaner is better, or going the dell route, bulking up? whitman: i think it depends on the company, their leadership, the industry. we have seen a lot of divestitures and carveouts in the last 12 months, and i do not know if it is because of us, but
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i think people are realizing that with the pace of change in every industry, you got to be fast. the future belongs to the fast, so we thought it was important to get smaller, but companies have different strategies. we chose to get smaller. dell chose to get bigger. verchose to deal ever -- dele the company. we chose to lean into new technology like the industrial internet of things that you talked about. dr. inside every server, and dell is actually doubling down on old technology. different strategies for different companies. i like our hand. emily: you said internet of things is a big opportunity for you on the back of this partnership with ge. when you look at internet of things versus cloud, how much growth do you see in one or the other over the next five years, let's say? whitman: if you think about our current business, and the business of hewlett-packard over many years has largely been data
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center focused business. and there are still pockets of growth there, where it is -- whether it is private infrastructure. but we have a thing called campus edge, think about autonomous driving cars, smart beds, and jet engines. what will happen is compute is going to have to move to the edge where that data is being collected because you do not have time to bring all that data back to a data center, process it, and end it back out. think about an autonomous driving car -- that car is making decisions real-time about the data it is collecting. even one second or half a second latency will not be good enough, so we see big opportunity about compute at the edge. wireless lan at the edge, so we think it is a big opportunity for us. i don't know how big it will be. it is in its earliest stages, but we think it is perfectly matched to our core dna of being the best in the world. compute at the edge has to be
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small and has to have very low power consumption. emily: you spent a lot of time talking about cloud so far at the conference and amazon is putting so much pressure on everyone, especially hardware makers like yourself. given that, how much growth do you really see for hpe in the long-term given how much pressure amazon is putting on the entire industry? whitman: i think this is a 1% to 2% to 3% growth rate category overall, but there are real pockets of growth. as i said, come poseable infrastructure changes the name of the game for infrastructure, as we think about private cloud. not everyone wants to put all their applications into a public cloud. some want a private cloud. that is a growth area for us. we had a really interesting conversation with dropbox who is a company born in the cloud, who is moving back into the data center into a very advanced
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infrastructure that is designed for their application in their data center because as they got so big and it began to cost more, they needed more control, so they have done the opposite. they have moved from a public cloud back into a hybrid cloud environment, in a more traditional way, their own ability to do compute storage and networking. emily: the ipo market is stagnating. the mega valuations of private technology companies have plateaued if not decreased. how do you think that impact potential m&a, and how interested are you in m&a? whitman: many of us predicted there would be correction in the value of some of these startup companies. last year when we talked, we had that very conversation, and that came to be true. we see this in silicon valley.
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valuations get high. there are cycles. i think it is advantageous for a company like hewlett-packard because valuations will be more reasonable. we are interested in m&a but at the right price and in complementary areas. for example, what has worked well for us is the acquisition of aruba. great complementary technologies we can put through our distribution system, and by the way, not too expensive. atpaid a fair price, but not 80 multiples. and we have to be very cautious because frankly, from our return on investment, share buyback would be better for a company with little revenue and no operating profit. emily: what companies might you be looking at for the future? whitman: we are interested in the industrial iot, software defined infrastructure companies that can complement the suite of products we have.
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we decided to do converged on our own, hyper converged on our own, so we have to make the decision, do we want to invented ourselves? or would it be quicker and more expedient to do it ourselves? we will be very disciplined of that. emily: you have been an outspoken critic of donald trump. i'm curious -- have you had any conversations with the gop establishment about finding another candidate, a third-party alternative? whitman: no, i have been clear on the record that i do not think donald trump is the right answer to be president of the united states, but i have not had any third party candidates. emily: does that mean you will endorse hillary clinton? does that mean you think she will be more fit to be president? whitman: we will see. i want to get through both conventions, i want to see the vice presidential candidates are, i want to give an
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understanding of what the final platforms will be. i will make a decision later in the summer about what i will do. emily: either way, hillary clinton is the first female presumptive presidential nominee. you have broken through so many class ceilings yourself, but there are still so few women ceo's of big technology companies. and you often get lumped into marissa category as mayer. how do you feel about by categorization? do you think there is still a different standard for women in business especially at the top? , whitman: i look at the positives of this, which is the progress we have made since i came out of college in 1977 is really amazing. more work to do, but there are more women leaders today at every level of companies because we have made a lot of progress, but there is still more work to do. my counsel to young women is science, technology, engineering, and math. if you like those areas of study, if you think that could be of interest to you, i
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encourage people to go into the hard sciences and computer science because we are at the end of the beginning of the phase of big technology information. the opportunities are going to be as great as they were the last 20 or 30 -- i mean, i.t. was the defining industry of our generation, my generation. i think it will be the defining industry of the next generation as well. i think i was asked the other day, but would i tell my 17-year-old self, and i would tell my 17-year-old self to be an engineer, and i was not. i was an economics major, but if i had it to do over again, i would be an engineer. emily: you have done quite well for yourself. i appreciate the advice. now that hp is so much more nimble, could it become a target? whitman: you never know. even after we spin off our enterprise services, there will
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still be a $33 billion business with 50,000 employees, all across the globe. it's not a peanut, but you never know what happens in this industry. obviously, we will see, but we are really excited about the future of hewlett-packard enterprise. there are so many opportunities, in the software design and data center. and of course, our software portfolio, be it security or big data analytics with haven on demand and vertical, that we talked a lot about at this conference, there's a lot of opportunity. being more focused, and the ability to invest, we have a great chance to be super successful. by the way, we are outdoing our competitors every single day. think about storage, for the last two years, every quarter, we have taken share. we have taken share in servers. we've taken share in networking. we grew 18% while cisco shrunk. emily: now that you have gotten the company into this better position and created this opportunity, what is next for you?
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how long do you intend to continue being ceo? would you ever get back into politics, given everything that is going on? whitman: we are definitely not getting into elected politics, that is for sure. we will see. i told the board i would stay five years. that is coming up in september. i'm having a great time. i love running these smaller companies. you're able to be nimble and invest, and spend more time with customers. so i'm having a great time running hewlett-packard enterprise. emily: my conversation there with hp enterprise ceo meg whitman. now to another story we are following according to reports, , the newly minted next ceo is telling employees the company is not for sale. the maker of smart home appliances has been in the spotlight since the announcement the founder is stepping down. the parent company, alphabet, has said little about the executive shakeup, but at the company shareholder meeting wednesday, eric schmidt said some of the company's other bets
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will undergo changes. >> we have created these other initiatives. some will do great, some will do poorly. they are led by very strong ceo's. it is a dynamic environment. we will change them. we will address them. but we are very serious about it. we have been trying to manage these as independent businesses to rate -- to build real businesses to scale. over the next two years, you will see the ones that will grow very quickly and the ones which will add and the ones that will go and try to resuscitate because the product did not work as well as we wanted, and that is how innovation really works. emily: also at the meeting, he laid out top areas of interest, some of these like artificial , intelligence assistance, self driving cars, and health care research, were to be expected. but also on the list, the so-called development of meatless meat, made from plants.
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coming up, amazon double down on india. we dive into amazon's new $3 billion that. plus, the craigslist competitor that gets as much daily face time with users as snapchat and instagram. secrets toup explosive growth later this ♪ hour.
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emily: a story we are watching, arianna huffington may be gearing up to expand her media empire. huffington has held talks with investors about a startup called thrive, which would be a lifestyle content platform with contributions by celebrities that would also provide wellness consulting services to companies. among those who have already
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venture, onek the of the earliest backers of the huffington post. now to india. the e-commerce giant amazon has announced it is doubling down with an additional $3 billion in the country, bringing the total investment in india to a whopping $5 billion. the move further establishes the tech giant poised to see a boom, in internet use. does it marked the start to e-commerce in india? or that already underway? our correspondent who covers amazon joins us now from seattle. painted the picture for us. how well is amazon faring against other competitors in india? spencer: it is definitely a big player in india and has quickly emerged as a contender.
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flipcart and snapdeal having challenges with fundraising. we were talking before the show about morgan stanley write-downs and how they will face it more -- a more difficult fundraising environment. that seems to be the opportunity jeff bezos sees, while his competitors are a little week. emily: morgan stanley originally wrote down their investment specifically by 27%. what are some of the specific challenges amazon and jeff bezos will be running into? there's so much talk about the slow governmental progress and bureaucracy in india. can amazon really cut through that? spencer they have adjusted their : model. they operate as a pure marketplace model. they are not owning inventory, they are simply a pass-through connecting buyers and sellers. , they do that in the u.s. as well, but they do a hybrid
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version where they own inventory, and are also a marketplace. so they are able to find a loophole to operate there, and big challenges are shoddy internet connections that can go out all the time and also infrastructure. so they have people making deliveries on dirt bikes over dirt roads. compared to ups trucks on a paved road here. there are a lot of challenges, but they also see opportunities. the second largest country in the world, e-commerce penetration fairly small. 4% or 5% compared to 10% in the u.s.. tremendous headroom. tremendous opportunity despite those challenges if they are willing to commit the resources. that is something amazon has proven time and time again. they are willing to make the long-term play and invest the capital needed to see that opportunity. emily: obviously, india has a huge population of customers and potential customers, but what else makes india such a huge
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strategic opportunity? spencer: it is not just a place where amazon is looking for potential customers, though that is a big part of it. india is also a strategic company for amazon in terms of procuring inventory. india is a huge source country for amazon. amazon has long-term ambitions, of being a global logistics network, a factory-direct model connecting a customer anywhere , in the world with a product anywhere in the world. and india is a key country for that, so it would be a place where they can not just sell goods within the country of india but also find suppliers including textiles, which is an area amazon is really ramping up in the fashion industry, places to find inventory directly, cut out the middleman and get it directly to shoppers in the u.s. and europe, where e-commerce business is more
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robust. emily: i'm curious what alibaba's ambitions are. they have made it clear they want international revenue to be half of all revenue by a certain is india a country that they are point. targeting? spencer: they are invested in amazon's competitors in india. they are kind of doing the pinky toe in the pool kind of approach. everyone is waiting for the big e-commerce showdown between amazon and alibaba. i'm not sure india will be the country where we will see it. alibaba is heavily focused on russia and brazil, and while amazon has backed off of china to focus on india. they are kind of dancing around one another in the ring, but we still have yet to see the big amazon-alibaba square off. emily: a showdown. everybody wants to see it. thanks so much. now to another story we are
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watching -- apple is tweaking its revenue model for the app store. the company will begin offering incentives for subscription-based apps and will also implement a revenue-sharing program with developers by slashing its cut from every app sale to 15% from its current 30%. they fit into its broader goal of shifting away from hardware and more toward his services. changes take effect on june 13, the day of apple's worldwide developers conference right here in san francisco. tune in on bloomberg television and bloomberg radio for full coverage of the event. coming up, latest updates on driverless cars. and the revolution could fiat be , working on a partnership with uber? we will explore. ♪
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emily: now to a story we are following yahoo! is exploring , the sale of more than 3000 patents, looking to cash in on intellectual property. yahoo! has hired boutique investment bank blackstone to sell the patent. bids are due by mid june. if magically's augmented reality headset looks anything like the patent filed earlier this week, it may be luke skywalker approved. the magically headset will have the same look as the famous "star wars," helmet. it will include vision slips so users can see their actual surroundings. the secretive startup has raised from the likes of google and ali $4.5 billion baba. coming up, france is looking to build a reputation as a tech hub. but whether be dampened global interest? and if you like bloomberg news check us out on the radio. more bloomberg west next. ♪ cpiop stories this hour,
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rising from a year earlier. narrow, deflation did following from 3.4% in april. inflationary trend has continued for 51 straight months. the bank of korea has surprised economists with an interest rate cut. it lowered it to 1.25%. and the governor says it is getting closer to the lower limit. analysts, they predicted a cut today. the key we jumped to a high.
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investors getting more hands-on with trading, according to a bloomberg source. 85-year-old is spending more time directing trade. -- he builtoversaw a $24 billion fortune and has recently taken a dim view of the world economy, in particularly, of china. and those are the headlines from bloomberg news, powered by over 2400 journalists in 150 bureaus let's get theld, latest right now from the asian pacific. mid for us here, here is david. david: thanks, angie. we are halfway through thursday, let me get started with the fixed income base. this is five years across japan, u.k., and german bonds. the next big risk event is the theon -- auction for
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japanese five-year, we are watching that close. we're looking at a fairly weak demand there. the price may be indicating. japan, -23 basis points. graphic, itat the was obviously not designed to show negative yields. look at the german five-year, -42 basis points. we are also beginning to track the weakness in the u.s. dollar. let me take you through all the majors. 1.14.p the dollar index by the way, at a one-month low. the dollar, with back to levels. the dollar yen is the main catalyst so far. close to session lows at the moment.
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declines, downat to 1%. in all, despite some of these pockets of strength we are seeing here, it seems equity markets seem to be hitting a wall at the moment. momentum is slowing down. let's see how it all plays out. ♪ emily: this is "bloomberg west." the french government has made luring tech companies to the country a top priority. the country sent the second biggest delegation to the consumer electronics show in las vegas last year, and convinced facebook intel to open offices in the country. yet, some tech companies have criticized the country's business practices for being too tough. the french ambassador for international investment and ceo of the business of france joins me now here in the studio. thank you so much for joining us. first of all, paris has quickly in the last few years become a huge tech hub, and it has happened very fast.
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what is driving that change and how would you describe the transformation? >> a think the changes fabulous. it is very vibrant, but we had a basis with very strong engineering. over one million engineers in france and 80,000 new every year, very well known here in the valley. but suddenly, what has changed, a generation shift. now, they don't want to work for large companies half want to , create their own software. that is a huge talent. they are investing in creation. emily: what kind of companies are they creating? in fashion where paris has historically been the capital or other things? muriel: half-and-half. you know some of the names. some are very well known now. some are just booming now.
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they will be famous later, but really, it is the environment. it is -- emily: uber and google have been really vocal about their frustrations with working in france. france has come down pretty hard on them for business practices and tax issues. eric schmidt, chairman of alphabet, was recently speaking at a conference in amsterdam and had this to say about working in europe. take a listen. eric there are a gazillion laws : that still make it difficult to be an entrepreneur. it is much harder to be an entrepreneur in europe than it is in america. the regulatory tax policies, the amount of time it takes to create a firm and so forth and so on. what happens when i meet with governments is they all say yes and listen very politely and they are always very nice -- europeans are always very polite -- and then they do not do
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anything about it. emily: how do you respond to that? muriel: i believe in facts and first, figures. i would say first, entrepreneur is a french word. [laughter] the work week for the french has days, so and a half the old cliches apply. today, many would say it is very easy to become an entrepreneur in france. and there is a lot of support to make it happen quick. i think this is changing dramatically because everyone understands now that with digital transformation new , business comes from entrepreneurship and not only big corporations. emily: what do you have to say about the big corporations that
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are already established that are having difficulties finding the standard business? muriel: i think it is not a question of france but a question of europe and the world. with the digital transformation, new businesses -- business opportunities are fantastic. but at the same time, you have to take into account the market. to be sure, you protect the consumer. you cannot have different rules protecting the consumer from insiders and outsiders. europe is really thinking about that because with the digital transformation, digital economy, the old model of evaluating the value is changing. i think the question will be raised at the european level, try to find something which is fair for the consumer and fair
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for insiders and outsiders. emily: france chose to open an ai center in part because of the university talent. can you describe that talent and the impact on the overall ecosystem? muriel: i think we have many examples of companies that invest now in france for the talent. i think access to talent is one of the many hurdles of business development in the coming years. because you need access to capital, you need access to talent. we have plenty of talent in france. our engineers are known to be more loyal to companies. they want to stay in the same company, to be part of the adventure of the company. also, it is easy to be less expensive. so it is why cisco has decided to invest $200 million in startup development.
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it's why facebook created the first artificial intelligence center outside the u.s. and france. it is why intel just opened a center in france. i think everyone is moving in this direction, and probably one main assets is talent. emily: thanks for joining us. great to have you. sawtek bc has just raised $150 million for a new venture investment. the firm will devote $100 million to smaller seed stage investments. the firm said it took less than six weeks to raise the money, although it did have to overcome skepticism about whether investors would still be interested in seed funding in this environment. up next meet the localized
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, e-commerce app that got one of the best shout outs in mary meeker's annual internet report. they explain what is working for the company, next. ♪ emily: elon musk has once again
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taken to twitter with important company updates. following up on reports that samsung might supply batteries for tesla's electric vehicles -- must clarify tesla is working exclusively with panasonic. articles claiming otherwise are indirect. tesla and panasonic have a strong partnership going back to
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2010. besides the model three, panasonic makes the cells used in the x as well. when asked if samsung might provide tesla energy, instead the unit providing batteries he tweeted back, yes. turning now to silicon valley's most important slideshow of the year, mary meeker's annual internet trend report is an influential marker of themes to watch in the tech industry. this year's presentation includes seriously sobering themes like the fact smartphone market growth is slowing. and growth among global internet users is plateauing. but an e-commerce company got one of the biggest shout outs. she used it as an example of how image-driven platforms offer some of the best monetization opportunities. the offer up daily usage time has spiked, putting it on par with instagram and snapchat and even ahead of pinterest and twitter. nic, thanks so much for joining us.
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i was in the audience when mary meeker mentioned you guys. i'm curious -- what do you attribute the recent growth surge to? do you think it is because the way the product is designed? >> i think because of the smartphone, we can imagine how people buy and sell globally. to be aned offer up more engaging browsing experience, and something people really enjoy. and they can discover what is nearby them wherever they are because of their phone. that is kind of what we set out to do when we started. emily: craigslist is the obvious incumbent. nextdoor is also a place where you can sell in a hyper local environment. nick: we really obsess over creating the simplest and most trustworthy way for people to excel so we focus on creating , the best experience we can. while there are a lot of different competitors out there, we are focused internally on creating the best experience we
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possibly can. emily: how do you address the stranger danger factor? nick: obviously, there are big challenges there. we have a ratings and the ability to scan and id. if you do that, you become a member on our platform. while at the start it is an endless pursuit. there's a lot we need to do around that area. emily: you have grown a lot faster than ebay, for example. it is a completely different era. are you going after a different market? who are you chasing here? nick: we want to be the best at local and transform how people buy locally. we do not even use the word classifieds, for example. we think it is a much bigger opportunity. ebay is a much different animal. we are really focused on the local aspect. emily: can you ship or do you have to go pick it up? nick we're really focused on the : in person part of the transaction. we are not focused on shipping. emily: the app looks and feels a lot like pinterest.
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buy have added things like buttons. do you see any overlap with pinterest? is a i think pinterest different kind of animal. they are a massive company and there's a lot you can do. we're really focused on buying and selling. that is about the only difference, i guess. emily: given that images seem to be driving a lot of traffic, do you see everything starting to look more like pinterest and instagram? nick: i think it depends on the use case. we think buying and selling is a very visual experience and wanted to create something similar to that. you think about how you go into a store, you explore things and look at things and that's the type of experience we are looking to create. emily: how do you guys make money? nick: today, we are not monetizing. there is a whole series of things we are working on and will continue to roll out. that the focus so far has really is not been the focus so far.
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the focus so far has really been growing and getting into every market in the u.s. today we are the largest mobile-only marketplace in the u.s. for local commerce. emily: how might you monetize, especially in this environment where money is harder to come by and investors are emphasizing unit economics and making sure you can be ipo ready any time? nick: i would not get into specifics today, but i think there's a series of experiments we will be looking to do in the future, some things we are pretty excited about that have not been done before. i think there's a lot of different opportunities that we can explore given the size of the company we are already. emily: i mentioned craigslist is the incumbent here, but it has not changed much in many years. do you think craigslist survives? why hasn't craigslist been thoroughly disrupted? nick: i cannot speak to the lack of innovation there. it's pretty true they have not really involved the product in a long time.
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all i can say is i think there's a lot of opportunity to rethink how buying and selling should be done, and i think there's a lot of different areas we will continue to focus on today and into the future. emily: thank you so much for joining us today on the show. continuing our focus on the biggest internet trends of 2016 throughout the week including the rise of ad blocking technology and the question of how intrusive online marketing should really be. coming up, fiat teamed up with alphabet in may to create a fleet of self driving minivans and now it is eyeing uber. the latest shift in the latest shift in that driverless car revolution, next. and tomorrow, do not miss howard davies on "surveillance," 6:00 a.m. new york time. more of "bloomberg west" continues. ♪ emily: sebastian thrun is
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bringing his online education company to germany. hoping to help the company keep up with recent changes like driverless cars. german car companies have struggled lately to find workers with the right skills to keep up with the evolving landscape. i spoke with thrun in april and asked what he thinks of the future of education and what it will look like. sebastian: i think the dream is over. if you look at statistics, today, average employment is about 4.5 years. in the future, it will be shorter and shorter and technology is moving faster and faster than ever before. and we live longer. as a result, in my own field, computer science, anything that existed today did not exist anybody that got a degree 10 10 years ago. years ago has probably learned very little that is actually
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relevant today. emily: fiat wants in on the driverless car revolution. it is reportedly in talks with uber to create self driving vehicles. talks are in preliminary stages, but it could be announced by the end of the year according to , people familiar with the matter. in may, fiat struck a deal with google to create a fleet of self driving minivans. the company has also been in touch with amazon about providing driverless vehicles for web delivery. first of all, what is the likelihood of something actually happening here? >> i think google is talking to a lot of automakers but certainly has a strong interest to strike partnerships. i think at the same time fiat already has a relationship with google, clearly willing to cut several deals. i think something good come together, but it is a very early stage. emily: what about uber specifically? eric: i think the talks are
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early stage, but i think this is very much something that could happen. emily: who else is uber talking to? eric other automakers. : when we can be more specific, will report on this. emily: the ceo of fiat seems to be either forward thinking or obsessed with technology. what is driving that? eric i do not think you can be : an automaker today and not have some sort of autonomous car strategy. to either build, buy, or partner. fiat is saying they will partner igressively with google, and you're talking about uber, those are the two big companies i think about when i think about self driving. emily: is fiat saying they want to manufacture those cars? eric: uber said they don't want to be in the manufacturing business, but the development of the autonomous technology, so i think that is probably what would happen, though we do not have a lot of details. emily: why doesn't fiat build their own software and products if they are so interested?
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you have a lot of other carmakers going it alone. eric: a think it is a very, very hard problem. there is a limited sense of engineers that can do it. every company in the world wants to spend money to buy those engineers. you have to pick your battles, and unless you are willing to spend a ton of money, might make more sense to partner with a technology company. been: you have also covering fundraising wars between didi and uber. the numbers are massive. i wonder, will they ever have to go public ever at all? do they have enough funds to fund their expansion for years to come? eric: in 2015, we had the first three quarters, and they spent i think $1.7 billion, so maybe more than $2 billion in a year they lost, so they are certainly burning through billions of dollars. they have committed to spending billions in china now.
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they're raising the money and spending the money. certainly they have more than they need at the moment. and i think the ipo is probably years out. didi is supposed to be looking into an ipo for next year. is that the case? they are saying they will close ericthey are saying they will close a round. : if that round comes together, they will have money, too. i think the timing is uncertain and the company keeps kicking the can down the road. emily: she was pretty outspoken. she brought up uber's home screen in china and said they ,ctually mentioned didi directly, the competition, and said it it was so cheap. what are the prospects for uber
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to succeed? eric: they are spending aggressively. larger marketch share. they would say they are cheaper. we are more expensive than winning. uber is subsidizing and still struggling. i think it is hard for uber right now, but we have not seen any indication they are backing away. lyft will beer and the two competitors in china. emily: thanks so much for stopping by. now it is time to find out who is having the best day ever, and today's winner is -- >> not too cold, maybe down to degrees in san francisco. 61 >> what about napa valley? emily: siri! siri may have saved a young girl's life. a one-year-old was battling bronchitis and stopped breathing. her mother told her phone to get emergencyand
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services. the ambulance arrived and saved the girl's life. she called it a godsend. that does it for this edition of "bloomberg west." ♪
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♪ terror returns to tel aviv. they call a response to crimes in palestinian territories. rishrishaad: there are signs that the years of something prices are coming to an end. manus: saudi arabia releases more details of its national transformation plan. rishaad:

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